Mishcon de Reya supports Relation deal

Mishcon de Reya has provided critical legal support to Relation, a leading biotechnology company, in establishing two significant strategic collaborations with GSK. These agreements focus on the development of innovative therapeutics targeting fibrotic diseases and osteoarthritis, conditions that impact millions of lives globally and currently lack effective treatments addressing their underlying causes. The collaboration aims to leverage cutting-edge science and technology to address unmet medical needs in these areas.

As part of the agreements, Relation will receive an upfront payment of $45 million from GSK. This figure includes a $15 million equity investment. Furthermore, Relation stands to benefit from success-based collaboration payments of up to $63 million, along with potential milestone payments that could total up to $200 million for each target, alongside tiered royalties on net sales of any products that result from these collaborations.

Relation will spearhead observational studies to create two unique functional disease data sets. Their proprietary Lab-in-the-Loop platform will then analyse this data to identify novel disease targets. The platform will focus on a number of fibrotic conditions and osteoarthritis, while GSK will retain global development and commercialisation rights to any identified targets.

Patrick Farrant, Partner at Mishcon de Reya, led the team providing comprehensive legal support throughout the negotiation and implementation phases of these agreements. The team’s expertise was further strengthened by contributions from David Rainford, Sophie Wood, James Boyle, Anna Sloan, Hugo Christie, Kunal Sankhla, Gwen Ballin-Reeve, and Hayley Cross.

Patrick Farrant commented: “Supporting Relation on the legal structuring of these collaborations has been a significant undertaking, showcasing our firm’s expertise in advising on life sciences transactions. These agreements highlight the groundbreaking science that Relation is delivering, and we are proud to have played a role in enabling their strategic partnerships. Such collaborations demonstrate the transformative potential of technology-driven platforms in advancing drug discovery and development.”

Benjamin Swerner, COO at Relation, also expressed his appreciation for the collaboration, saying: “Great deals require great science, great ambition and great partners. With Mishcon on our team, we have been able to move swiftly and with purpose.”

Relation is a platform biotechnology company focused on developing medicines for diseases with significant unmet needs. The company’s innovative Lab-in-the-Loop platform combines human genetics, single-cell multi-omics derived directly from human tissue, functional assays, and machine learning to uncover new disease interventions. Relation’s portfolio spans metabolic and immune diseases. The company has successfully raised over $80 million from leading investors, including DCVC, Magnetic, GSK, NVIDIA NVentures, Hitachi Ventures, Khosla, and Deerfield.

These collaborations with GSK, facilitated by Mishcon de Reya’s legal expertise, represent a significant step forward in Relation’s mission to transform the development of treatments for diseases that affect millions globally. The strategic support provided by Mishcon de Reya ensures that the collaborative agreements are well-structured, legally robust, and geared towards long-term success in advancing vital therapeutics research and development.